There have been several arguments against offshoring and most of them aren’t really grounded in reality. One of them is that offshoring causes unemployment among a larger section of people and that it causes economic instability directly or indirectly. This assumption may not really be true and several studies have found that there isn’t really any connection between unemployment in native country and offshoring of jobs to countries overseas. However, there are several errors that companies make when it comes to offshoring. It is precisely this reason why Mike Flanagan chose to talk about what he calls Offshoring 3.0.
hough the article he wrote on Just Style is not available for those who are not members of the website, one can easily make out that he discusses what needs to be fixed in the realm of offshoring and overseas production. He discusses garment industry but I believe the same discussion can be had in IT and other sectors as well. The idea is to fix the existing problems, bring in new policies and guidelines that not only save money but also help increase revenue.
Offshoring 3.0 then has to be something related to fixing errors and mistakes that companies have committed all these years in the name of offshoring and outsourcing. Probably, this damage control begins with accepting that offshoring may somehow be a more attractive option than mere outsourcing without giving it a second thought. So, I think the next step among offshoring companies or companies that choose to send their work abroad must be to engage in a total overhaul of policies and framework.